Interloc Solutions Blog

Why State of Good Repair has Become a Defining Challenge for U.S. Transit

Written by Interloc Solutions | Feb 18, 2026 7:01:41 PM

The state of America’s transit infrastructure has reached a critical moment. Aging assets, rising costs, and expanding system complexity are converging at a pace that demands immediate and coordinated action. As agencies across the country work to maintain safe, reliable service, the concept of State of Good Repair (SGR) has moved from long-term goal to urgent priority.

That urgency is at the center of the Transit State of Good Repair Conference, taking place March 4–5, 2026, at the Ronald Reagan Building and International Trade Center—an event Interloc Solutions is proud to sponsor.


The Growing State of Good Repair Backlog


The most recent analysis from the Federal Transit Administration and the Volpe National Transportation Systems Center, based on the latest available national data, estimates the U.S. transit State of Good Repair backlog at approximately $140.2 billion. This represents a significant increase from $101.4 billion in 2018, driven by aging infrastructure, inflationary pressures, expanding guideway assets, and more accurate asset inventories that have revealed the true scale of reinvestment needs. Particularly concerning are systems assets—including signals, train control, and communications—where more than 21 percent are rated in poor condition. At the same time, deterioration across heavy rail and commuter rail fleets is accelerating, placing additional strain on service reliability and operational safety.

Infrastructure Pressures Meet Organizational Complexity


Physical asset degradation is only part of the story. Many transit agencies also face internal challenges that complicate their ability to respond effectively. Gaps in data quality, limited system integration, and uneven analytics capabilities continue to hinder informed decision-making. Workforce readiness, cross-departmental coordination, and the maturity of asset management practices vary widely across organizations.


While progress has been made, many agencies are still evolving in areas such as risk-based planning, condition-based maintenance, performance management, and lifecycle costing. These capabilities are increasingly essential as transit systems grow more complex and resource constraints tighten.


Preparing for the Next Generation of Transit


Modernization efforts—including fleet electrification, expanded digital systems, and the adoption of new technologies—are reshaping transit operations. These initiatives offer long-term benefits but also raise the bar for organizational capacity. Strong asset data,
predictive tools, and enterprise-wide alignment are no longer optional; they are foundational to sustaining service and maximizing investment.

Addressing State of Good Repair today requires more than funding alone. It demands a coordinated approach that integrates infrastructure strategy, data governance, technology, and people.


Supporting the Path Forward


Interloc Solutions’ sponsorship of the Transit State of Good Repair Conference reflects our commitment to supporting transit agencies as they navigate these challenges. The conference provides a vital forum for sharing insights, advancing best practices, and strengthening collaboration across the industry.


As agencies work to close the SGR gap and prepare for the future, conversations like these are essential to building resilient, reliable transit systems that serve communities for generations to come.


Stop by and connect with the Interloc team during the conference. If we don’t get the chance to meet in person, we’d be happy to schedule time to discuss your needs—just reach out using the contact information here.